If we take this trend line theory one step further and draw a parallel line at the same angle of the uptrend or downtrend, we will have created a channel. No, we’re not talking about ESPN, ABC, or Cartoon Network. Still, this doesn’t mean that you should walk away like it’s a commercial break- channels […]

Before we go any further we are going to be 100% honest with you and tell you the following before you consider trading currencies: All forex traders, and we do mean ALL traders, LOSE money on trades.Ninety percent of traders lose money, largely due to lack of planning, training, discipline, and having poor money management […]

You can open a demo accounts for FREE with most forex brokers. These “pretend” accounts have the full capabilities of a “real” account. But why is it free? It’s because the broker wants you to learn the ins and outs of their trading platform, and have a good time trading without risk, so you’ll fall […]

The term “order” refers to how you will enter or exit a trade. Here we discuss the different types of orders that can be placed into the foreign exchange market. Be sure that you know which types of orders your broker accepts. Different brokers accept different types of orders. There are some basic order types […]

As in any new skill that you learn, you need to learn the lingo… especially if you wish to win your love’s heart. You, the newbie, must know certain terms like the back of your hand before making your first trade. Some of these terms you’ve already learned, but it never hurts to do a […]

In the past, spot forex was traded in specific amounts called lots. The standard size for a lot is 100,000 units. There is also a mini, micro, and nano lot sizes that are 10,000, 1,000, and 100 units respectively. Lot Number of Units Standard 100,000 Mini 10,000 Micro 1,000 Nano 100 As you may already […]

In the following examples, we are going to use fundamental analysis to help us decide whether to buy or sell a specific currency pair. If you always fell asleep during your economics class or just flat out skipped economics class, don’t worry! We will cover fundamental analysis in a later lesson. But right now, try […]

To make money in forex, you buy or sell currencies. Placing a trade in the foreign exchange market is simple: the mechanics of a trade are very similar to those found in other markets (like the stock market), so if you have any experience in trading, you should be able to pick it up pretty quickly. […]

Trend lines are probably the most common form of technical analysis. They are probably one of the most underutilized ones as well. If drawn correctly, they can be as accurate as any other method. Unfortunately, most traders don’t draw them correctly or try to make the line fit the market instead of the other way […]

Support and resistance is one of the most widely used concepts in trading. Strangely enough, everyone seems to have their own idea on how you should measure support and resistance. Let’s take a look at the basics first. Look at the diagram above. As you can see, this zigzag pattern is making its way up […]